The employer's handbook for hiring in the Netherlands Independent guide · 2026 edition
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The employer's handbook, 2026 edition

Your first Dutch hire, from offer letter to first payslip.

Hiring your first person in the Netherlands is not hard, but it has more moving parts than most founders expect. This handbook walks you through each one in plain English: what you will need, what it really costs, and what tends to go wrong.

Line illustration of a tidy desk with an employment contract, laptop and coffee
your desk, week 0

The first-hire timeline

Six stops between “yes, I accept” and money in their account. Each one opens the chapter that covers it.

  1. Week 0 Offer Agree salary, hours and start date. Decide who will be the legal employer.
  2. Week 1 Contract A Dutch arbeidsovereenkomst, checked against any CAO that applies.
  3. Week 1-3 Register Register as an employer for loonheffingen, or let an EOR employ for you.
  4. Start date Day one ID check, payroll details, sick-leave process and an arbodienst in place.
  5. Month 1 Payroll run Wage tax and premiums are calculated and filed each pay period.
  6. End of month 1 First payslip A loonstrook with gross, net, holiday allowance build-up and pension.

Contents

Eight chapters, in the order you will need them

  1. 01 Your first Dutch hire How to employ your first person in the Netherlands, with or without a Dutch entity. The options, the order of steps and the paperwork you will need before day one. 7 pages
  2. 02 Contracts & CAO What goes into a Dutch employment contract, how fixed-term and permanent contracts differ, and how to find out whether a collective labour agreement (CAO) applies to you. 4 pages
  3. 03 Sick leave & absence Dutch employers keep paying wages during illness for up to two years. This chapter explains your obligations, the reintegration process and how to insure the risk. 4 pages
  4. 04 Holiday pay, leave & pension Holiday allowance, statutory leave days, parental and care leave, and when you must offer a pension scheme. The recurring costs that are easy to forget in a budget. 4 pages
  5. 05 Payroll outsourcing How Dutch payroll works each month, what a payroll provider takes off your hands, and what you should still check yourself before every pay run. 5 pages
  6. 06 True cost of an employee From gross salary to total employer cost: premiums, holiday allowance, pension, insurance and provider fees, laid out so you can build an honest budget. 3 pages
  7. 07 EOR or your own BV When an employer of record is the sensible start, when your own Dutch BV becomes the better choice, and how to switch without disrupting your staff. 6 pages
  8. 08 Employer checklists Step-by-step checklists for the moments that matter: before an offer, before day one, at the first payroll run, during sick leave and when someone leaves. 7 pages

Before you hire anyone

The five-point starting checklist

  • Decide who employs: an EOR, a payroll provider on your own BV, or a foreign-company registration
  • Check whether a CAO (collective agreement) covers the role
  • Budget for the full employer cost, not only gross salary
  • Arrange sick-leave cover and an occupational health service (arbodienst)
  • Plan the first payroll run before the start date
All employer checklists

Dutch terms, explained once

Words you will meet on page one

Loonheffingen LOHN-hay-fing-en
The umbrella word for everything withheld and paid through payroll: wage tax, national insurance contributions, employee insurance premiums and the healthcare contribution.
Vakantiegeld va-KAHN-see-gelt
Holiday allowance: at least 8% of gross annual salary, usually paid out in May or June.
CAO say-ah-OH
A collective labour agreement for a sector or company. If one applies, it can set higher pay, extra leave or a pension scheme.
Arbodienst AR-bo-deenst
The occupational health service every employer needs access to, for sick-leave guidance and workplace health.
Loonstrook LOHN-strohk
The payslip. It shows gross pay, deductions, net pay and any allowances built up.

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